Solvay buying U.S. chemical firm Cytec for $5.5 billion
In a bid to increase its stake in the composites industry, Belgian chemical maker Solvay has announced it will buy U.S.-based composite materials supplier Cytec for US$5.5 billion.
In a statement, Solvay CEO Jean-Pierre Clamadieu said that the proposed acquisition “marks a major step change in Solvay’s portfolio upgrade” to expand into the markets of advanced materials in aerospace and the automotive industry as well as increase its know-how in mining chemicals.
The deal is expected to create annual synergies of over US$110 million, Solvay said.
Headquartered in Brussels, Solvay employs some 26,000 people in 52 countries.
Cytec, based in New Jersey, has 4,600 employees worldwide. Its Canadian plant in Niagara Falls, Ont. produces chemicals for the mining, agriculture and pharmaceuticals sectors.